Tuesday, January 05, 2010

GS

GS is at a crucial point in it's Weekly chart:



Prices touching the ATR trigger threshold.  Either GS breaks through for a new BUY (above 176.24 at close on Friday) or it heads down, probably hard down.

The Daily chart has caught this latest rally, but is not nearly as important as the Weekly:



A

9 comments:

Mike said...

I like the precursor affect the weekly GS chart shows.

One of the few large cap/high volume tradeables I've seen where a weekly buy was generated in Feb '09....as opposed to mainstream March signaling.

-Mike

Anonymous said...

Allan,

I bought GS on the close of the daily signal as my first real money trade. Instead of buying the stock I purchased a deep in-the-money option (April 2010 130 strike call) to avoid the time decay. I always purchase options that have at least 3-months to expiration and has a delta of around .90. The benefit of this is that instead of commiting $16,682 to buy 100 shares of stock I was able to buy the option for $3,825 while fully participating in the price move. So far the trade is up 10 points for a $1,000 gain in 4 days. The reveral point is now above my entry point so at the worst I will have a break even trade. Great method so far! I hope your readers find this option information helpful.

Regards,
Eric

Anonymous said...

Eric, thank you for the option trading perspective. Much appreciated. David

Anonymous said...

Eric, thanks for the info about option trading. very timely for me,as it's the next thing I need to learn about. Can you recommend any web sites where I can learn the 'how to' stuff, just like the things you posted. Its a confusing foreign language to me right now. Thanks.

Anonymous said...

The G S charts

technically speaking,both these charts look to be showing a clear a-b-c correction from the high.

add to that what looks like a 'double botton' at 160

and now looks like the beginning of a 'wave 1' going up.... having completed subwaves 1,2,and 3 completing now or soon.

subwave 4 would be next,

and add to that what looks like a big 'cup and handle' formation,

as subwave 4 plays out ,lets call it sideways action ,holding around the 170-173-176 area
creating the handle....
this could be the set up for a good wave UP.

Add to that....the 'new normal' of a scheming,phony,rigged game,government manipulated and controlled market,such as it seems to be,since...when ? (name your historical time frame,somewhere between last years melt down, and the day after the battle of Waterloo when M.Rothschild hoodwinked the entire british stock market and government.)

add it all up,feel it in your gut,smell the rat,

and expect a big push UP to the end of January.

Then watch out ?!

Tazman said...

Allan,

Just did the PayPal....about 15 minutes for daily email?

Taz

Allan said...

Taz: This is an automated response. Allan is still asleep. Do you want me to wake him or can you wait awhile? Last time I woke him he ripped off my ear, leaving me with only one. Still, $50 is $50, maybe I will bring him up a cup of hot green tea and he will spare that other ear.......I'm on it.

Tazman said...

Please don't wake Allan....I hear he can be a BEAR.....good news is I traded TZA yesterday for 2.1%.....and still holding a second position @ 9.01.....

Taz

Anonymous said...

Allan

Are you shorting TZA on hourly model? or daily model?
or, is it our choice?